document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1074704>Question 1074704</A>: <I><SPAN STYLE=\"word-break: break-all;\"> in 54 months, Bill wants to build a $20,000 three-season room addition on his house. How much should he invest now at 5.25% simple interest to have enough for the addition in 52 months? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #689623 by </B><A HREF=/tutors/aboutme.mpl?userid=jorel1380><B>jorel1380(3719)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=jorel1380><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=jorel1380><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=689623\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> The interest rate is 5.25% a year, or 12 months. Let n be the initial amount Bill needs to deposit. Then:<BR>\n" );
document.write( "20000=n x (1+((52/12) x .0525)<BR>\n" );
document.write( "20000=1.2275n<BR>\n" );
document.write( "n=20000/1.2275=$16293.279 as the initial deposit Bill has to make to afford the new addition. &#9786;&#9786;&#9786;&#9786;\r<BR>\n" );
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